Abstract: In 1967 the appellant CC engaged the respondent
building contractors for the construction of that part of the M5
motorway known as the Cullompton By-pass. The respondents
sub-contracted the work of site clearance and earth removal to a
firm known as Richards and Wallington. Measurement of this work
was agreed but its valuation was disputed both between the
respondents and Richards and Wallington under the sub-contract,
and between the parties to the instant case under the main contract
Abstract: In 1967 the appellant CC engaged the respondent
building contractors for the construction of that part of the M5
motorway known as the Cullompton By-pass. The respondents
sub-contracted the work of site clearance and earth removal to a
firm known as Richards and Wallington. Measurement of this work
was agreed but its valuation was disputed both between the
respondents and Richards and Wallington under the sub-contract,
and between the parties to the instant case under the main contract
Abstract: In 1967 the appellant CC engaged the respondent
building contractors for the construction of that part of the M5
motorway known as the Cullompton By-pass. The respondents
sub-contracted the work of site clearance and earth removal to a
firm known as Richards and Wallington. Measurement of this work
was agreed but its valuation was disputed both between the
respondents and Richards and Wallington under the sub-contract,
and between the parties to the instant case under the main contract
Abstract: In 1967 the appellant CC engaged the respondent
building contractors for the construction of that part of the M5
motorway known as the Cullompton By-pass. The respondents
sub-contracted the work of site clearance and earth removal to a
firm known as Richards and Wallington. Measurement of this work
was agreed but its valuation was disputed both between the
respondents and Richards and Wallington under the sub-contract,
and between the parties to the instant case under the main contract
Keywords: Arbitration; Case stated; Parties; Procedure Summary: Building; tripartite arbitration; practice Abstract: In 1967 the appellant CC engaged the respondent building contractors for the construction of that part of the M5 motorway known as the Cullompton By-pass. The respondents sub-contracted the work of site clearance and earth removal to a firm known as Richards and Wallington. Measurement of this work was agreed but its valuation was disputed both between the respondents and Richards and Wallington under the sub-contract, and between the parties to the instant case under the main contract. Both disputes were referred to a tripartite arbitration. Upon the arbitrators' direction there were pleadings similar to those in a High Court action where there are third party proceedings, the respondents pleading a defence to the claim of Richards and Wallington and also claiming against the appellants as "third parties." Just before the arbitration was to commence the respondents and Richards and Wallington agreed to settlement upon terms, inter alia, that the latter were to undertake the conduct and have control of the respondents proceedings against the appellants. The appellants contended that the respondents were tied to the denials that they had already made of any liability to Richards and Wallington and could not drop them in order to enable the latter to prove their own claim in the respondents' name in the guise of it being the respondents' claim against the appellants under the main contract. The arbitrator stated a special case on the question of law "whether or not in the circumstances now pertaining (the respondents) are (a) bound by the matters pleaded by them in defence to Richard and Wallington's claim and/or (b) precluded from leading evidence or making submissions in the arbitration against (the appellants) which seek to establish that these matters of defence are wrong in fact or in law". Held, that the respondents were not bound as the appellants contended. Amendments ought to be allowed to give effect to the realities of the situation and to permit the respective rights of the parties to be determined (Stott v West Yorkshire Car Co [1971] 2 Q.B. 651 applied).
Significant Cases Cited Stott v West Yorkshire Car Co
[1971] 2 Q.B. 651; [1971] 3 W.L.R. 282; [1971] 3 All E.R. 534; (1971) 115 S.J. 568; CA (Civ Div)
H. W. London and Nina E. London, T/a London Construction Company v. Troitino Brothers, Incorporated, Joe Troitino and Tom Troitino, 301 F.2d 116, 4th Cir. (1962)
In Re Regional Building Systems, Incorporated, Debtor. Bedford Construction Corporation, Creditor-Appellant v. The Plan Committee of Regional Building Systems, Incorporated, Debtor-Appellee, 320 F.3d 482, 4th Cir. (2003)
Bobby Bell, Kathleen Bell, and Sunwest Bank of Albuquerque, N.A., As Conservator of The Estate of Joseph Bell, A Minor v. United States, 127 F.3d 1226, 10th Cir. (1997)
Shipping Financial Services Corporation v. William J. Drakos, Duke Petroleum Transport Corporation and Omi Petrolink Corporation, 140 F.3d 129, 2d Cir. (1998)
Tanglewood East Homeowners Jimmie D. Lee, Jr. v. Charles-Thomas, Inc., First Federal Savings & Loan Association of Conroe, 849 F.2d 1568, 1st Cir. (1988)
Robert E. Leck, Kathleen F. Leck, Viola Brown, Frank E. Steele, Pearl Brock, Jerry B. Brock, and James W. Brock v. Continental Oil Company, 971 F.2d 604, 10th Cir. (1992)